MANILA – The Bureau of the Treasury (BTr) fully awarded bids for the re-issued 20-year Treasury bonds (T-bonds) during Tuesday's auction.
With a remaining term of seven years and one month, the re-issued bond fetched an average rate of 6.624 percent, lower than the 7.058 percent during the previous auction on April 30.
Rizal Commercial Banking Corporation chief economist Michael Ricafort, however, said the T-bond average auction yield was almost the same as the comparable seven-year Bloomberg Valuation Service yield at 6.62 percent as of June 3.
Ricafort said this was after the less hawkish signals reiterated by local monetary authorities on possible local policy rate cuts as early as August 2024.
The auction was nearly two times oversubscribed with total tenders reaching PHP57.1 billion.
With its decision, the BTr raised the full program of PHP30 billion, bringing the total outstanding volume for the series to PHP313.3 billion. (PNA)
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